James H. Swanson and Josephine A. Swanson - Page 37

                                       - 37 -                                         
               No "30-day letter" was issued to petitioners prior to the              
          issuance of the statutory notice of deficiency.  Respondent                 
          contends, however, that petitioners failed to exhaust their                 
          administrative remedies by not seeking an Appeals Office                    
          conference prior to the filing of their motion for summary                  
          judgment.  In support, respondent maintains that:                           
               After commencing litigation, * * * [petitioners']                      
               attorneys forged quickly ahead by filing a motion for                  
               partial summary judgment without attempting to confer                  
               with either Appeals or District Counsel to seek a                      
               possible settlement--a conference which likely would                   
               have eliminated the need for the parties to prepare a                  
               prosecution and defense of the motion and its extensive                
               exhibits and attachments, perhaps resulting in reduced                 
               litigation activities, saving time for the parties and                 
               the Court.                                                             
          In opposition, petitioners state that, pursuant to section                  
          301.7430-1(e)(2), Proced. & Admin. Regs., they have per se                  
          exhausted their administrative remedies.                                    
               In pertinent part, section 301.7430-1(e), Proced. & Admin.             
          Regs., sets forth the following exception to the general rule               
          that a party must participate25 in an Appeals Office conference             
          in order to exhaust its administrative remedies:                            

          25                                                                          
               Sec. 301.7430-1(b)(2), Proced. & Admin. Regs., provides                
          that:                                                                       
               a party or qualified representative of the party * * *                 
               participates in an Appeals office conference if the                    
               party or qualified representative discloses to the                     
               Appeals office all relevant information regarding the                  
               party's tax matter to the extent such information and                  
               its relevance were known or should have been known to                  
               the party or qualified representative at the time of                   
               such conference.                                                       




Page:  Previous  26  27  28  29  30  31  32  33  34  35  36  37  38  39  40  41  42  43  44  45  Next

Last modified: May 25, 2011